WW-82

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J@pan Inc presents the Wireless Watch Japan Newsmagazine:

W I R E L E S S W A T C H J A P A N LITE

Commentary on the Business of Wireless in Japan
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Issue No. 82 (Lite Version)
Monday, November 25, 2002
Tokyo

+++ Noteworthy News
--> DoCoMo Gives ISPs Access to i-mode
--> JATE Approves Many New Mobile Phone Handset Models
--> 104.com Ties with Orange for Mobile Application Services Platform
--> Japan to Examine Mobile Phone Risk
--> KDDI to Start Download Service Using CD Music

+++ Subscriber Statistics, Corrections, Credits, Administrivia

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+++ Noteworthy News
(Long URLs may break across two lines so copy to your browser.)

--> DoCoMo Gives ISPs Access to i-mode
http://www.bwcs.com/BWCS-News1207.html
Source: BWCS, Nov. 21

EXTRACT: NTT DoCoMo has introduced a service that enables ISPs to offer i-mode
services via its 2G PDC network. The move is aimed both at bringing fixed-line
and mobile Internet services closer together and further enhancing the content
available via i-mode. The new packet data service will allow ISPs to generate
new revenues by offering online content to DoCoMo痴 35 million i-mode customers.
Meanwhile, mobile users will be able to send and receive emails via their normal
ISP mail account.

COMMENTARY: DoCoMo will bill the ISPs between 124,000 and 380,000 per month (for
access via a 1.5-Mbps or 6.3-Mbps leased circuit). There will be an additional
charge for location data (which would allow the ISPs to provide location-based
services). This has been a while in coming; Big D said over a year ago that it
would open up i-mode to other ISPs. In the same way that NTT group companies -
like NTT Communications (whose strategy is to bundle WLAN wireless access with
fixed line access) - are following "bundle" strategies, this appears to be a
good way to earn even more money from i-mode and to bundle fixed-line ISP
connectivity with mobile connectivity.

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--> JATE Approves Many New Mobile Phone Handset Models
http://neasia.nikkeibp.com/wcs/leaf?CID=onair/asabt/news/218118
Source: NEAsia Online, Nov. 21

EXTRACT: The Japan Approvals Institute for Telecommunications Equipment (JATE)
unveiled the list of communications devices it approved in the period from Oct.
16-31. The list includes mobile phones due to be marketed around the end of 2002
and early 2003 and yet to be officially announced by their own makers.

COMMENTARY: Looks like Matsushita (Panasonic) will roll out the P251iS "i-shot"
picture camera for DoCoMo, Toshiba received approval for its CDMA A5304T
(apparently a successor to the high-end A5301T now used by KDDI/au which can
send movie mail and record up to 15 seconds of video), and Sanyo had two new
cellys approved (J-SA05 and V-SA701). The J-SA05 is for J-Phone, but now word on
which carrier the "V-SA701" is for (although there have been reports that
Vodafone will integrate J-Phone brands and models into Vodafone brands in 2003).

List of approved devices (in Japanese):
http://www.jate.or.jp/jp/tanmatsu/20021016_20021031.html

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--> 104.com Ties with Orange for Mobile Application Services Platform
http://hp2.104.com/english/eindex.html
Source: Email PR release, Nov. 25

EXTRACT: The Orange Group intends to launch a number of multimedia services in
Europe using Tokyo-based 104.com痴 Xme (Kiss me) platform. The two companies
inked an agreement last week that will see 104.com working over a six-month
period to develop new multimedia applications. The Xme platform has content
aggregation technologies for easily uploading and managing content from third
parties. Content and applications are distributed according to personal profiles
and the user痴 device capabilities. The system includes interfaces to the
billing systems of the Orange member companies and connections to the messaging
systems and gateways.

COMMENTARY: We suspect 104.com's experience in Japan's mobile market helped seal
the deal. No financial terms were mentioned, so we guess the actual cheque will
be modest, but this is one more example of made-in-Japan know-how moving
overseas. Taito, G-Mode, and others also recently announced they would supply
games to Vodafone in Europe (for Vodafone's V-Live! service). The Orange Group
is one of the world痴 largest mobile communications companies, so this deal is a
nice coup for 104.com.

--> Japan to Examine Mobile Phone Risk
http://news.zdnet.co.uk/story/0,,t269-s2126309,00.html
Source: Reuters on ZDNet, Nov. 21

EXTRACT: Japan's top four mobile phone companies, responding to growing concerns
about mobile phone use on health, said on Thursday they had agreed to team up to
study the possible biological effects of exposure to radio waves. Last year an
official at a World Health Organisation said a link between mobile phone use and
cancer could not be dismissed without further research. The firms - NTT DoCoMo,
J-Phone, KDDI, and Tu-ka Cellular - said that as a first step they would
collaborate on a study to examine the effects of radio waves both at the cell
and genetic level.

COMMENTARY: Don't look for results much before 2006. Note that the actual
research work in this case has been commissioned to Mitsubishi Chemical Safety
Institute to ensure objectivity. Still though, considering how controversial
data of all stripes gets suppressed, distorted, or otherwise kept from public
view in this country, it may take many more studies - and results for other
countries - before we get a clear picture. Still, this is a start.

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======================================================================

--> KDDI to Start Download Service Using CD Music
http://neasia.nikkeibp.com/wcs/leaf?CID=onair/asabt/news/217646
Source: NEAsia Online, Nov. 19

EXTRACT: KDDI and Okinawa Cellular Telephone announced on Nov. 18 that in
cooperation with Label Mobile Inc. they will start in early December a music
download service for their "au" Internet-enabled mobile phones. The downloaded
music - whose data is used as music CDs - can be downloaded from a specific Web
site accessed via an EZweb mobile phone and set as a ringing tone or alarm sound
of the mobile phone.

COMMENTARY: Looks to be an industry first. The CD clips will be 15-30 seconds,
and there should be some 300 clips ready to go in December. The download fee
will run 84-105 yen per clip. Casio and Hitachi will both deliver compatible
handsets.

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+++ Subscriber Statistics, Corrections, Credits, Administrivia

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